& cplSiteName &

Orange on the Partner Hunt in Silicon Valley

Sarah Thomas
10/29/2013
50%
50%

SAN JOSE -- Digital Disruption -- Orange has realized in the past 5-7 years that innovation has to come from both inside and outside the company, but it's leaning more toward outside these days.

Speaking on a panel here Tuesday, Georges Nahon, CEO of Orange Silicon Valley, the US arm of France Télécom, explained how the process of innovation has evolved at the Paris operator. It has its Orange Vallée subsidiary working on innovative communications apps inside, but it recently expanded its focus to look outside its walls and even outside its home country. (See: Innovation Makes Life Better for Orange and Is Orange Really Innovating?)

The company has had a Silicon Valley presence for years to be closer to the developer community. This May, it welcomed its inaugural class of startups as part of its Fab accelerator program, in which developers spend three months at Orange labs building new services that leverage the Orange network. (See: 'Orange Fab' Has Its First Startups and Euronews: Orange Hatches Startups.)

Rod Randall, executive partner at the private equity firm Siris Capital, joined Nahon on stage and talked up the power of investing outside the company to acquire talent. But Nahon said Orange is most interested in partnering, signing distribution deals, and potentially building special features today.

"We are being approached all the time about investors that want to see Orange be an acquirer in an existing company," he said. "We are a network services provider. We operate network services. We aren't an Apple creating devices. The network business is very resilient."

Sure, you can disrupt the network, Nahon said; voice is still there, even if it isn't what it used to be. But Orange is more interested in complementing what assets it does have with people who develop services on the periphery of its core business. "I don’t see ourselves getting into product design and manufacturing," he said. "The reason we want to invest in services companies is this is the other side of the network business, the people from the cloud and apps business. These are nice combinations. We don't converge; we combine."

Most of the innovation Orange has seen coming out of Silicon Valley has centered on mobile services, rather than infrastructure, but Nahon said the evolution to software-defined networking has shifted the focus. Young entrepreneurs think they can do telecom without the telcos or just build over the top of their networks -- and a good number of them have -- but Orange's goal with the Fab program is to show them the benefit of a partnership. One example he cited was a cloud-based call center that uses big data analytics behind the scenes to understand callers. Orange decided to partner with this company to co-brand and co-market the service.

The overall roadmap in terms of what services it develops is decided by Orange's top management in Paris, Nahon said, but with many more inputs than would have happened in the past. Part of that process is this new practice of talking to people and companies it hasn't talked to in the past but that might bring value to the industry. "You just can't put everything on a roadmap. You need to be prepared to disrupt the roadmap at some point."

— Sarah Reedy, Senior Editor, Light Reading

(3)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
MordyK
50%
50%
MordyK,
User Rank: Light Sabre
11/3/2013 | 5:34:29 PM
Re: Competing for partners
These are all very valid points. However I think that one of the larger issues faced by app developers is simply access to the carriers infrastructure.

Apps that leverage existing API's or unpublished capabilities lying on the fringe of he network are one thing, but the possibilities that lie in the network "crypt" are extremely difficult and timeconsuming to gain access to, even for the carriers internal "innovation" development.
Sarah Thomas
50%
50%
Sarah Thomas,
User Rank: Blogger
10/29/2013 | 6:16:43 PM
Re: Competing for partners
Good point. It seems like if you're a developer with an innovative idea, you have a lot of options in front of you. But, if you are a developer with an innovative idea, I'm not sure an operator incubator is your first choice. I think it depends how far along you are and whether you want VC funding or to be acquired or to become an operator partner. Interesting, too, that it'd rather partner than acquire, although I wonder if it's eyeing exclusive or white-label-style partnerships.
Carol Wilson
50%
50%
Carol Wilson,
User Rank: Blogger
10/29/2013 | 6:13:24 PM
Competing for partners
Given that every large service provider I talk to now says they are looking to be better partners to innovative applications and services companies, I wonder if any of these companies are being pursued by multiple carriers. 

I did like his frank assessment of what Orange is and what it isn't. 
From The Founder
Cisco's Conrad Clemson, recently promoted to head up the company's Service Provider Apps & Platforms developments, talks to Light Reading's Founder and CEO Steve Saunders about how he's bringing cloud video, mobile and virtualization together to empower network operators.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Interviews
Heavy Reading: The Web-Scale View

1|18|17   |     |   (0) comments


At Light Reading's 2020 Vision Executive Summit in Rome, Heavy Reading's former chief analyst Patrick Donegan shared insight from the recent web-scale operators report, which featured research on how web-scale operators view the market, the best web-scale companies to ...
LRTV Custom TV
Cisco's Cloud Scale Networking: Automation, Virtualization & Simplification

1|18|17   |     |   (1) comment


Cisco's Sanjeev Mervana outlines the latest innovations in networking technology at CES 2017 in Las Vegas.
LRTV Custom TV
ADVA Talks Innovation & the Future of Networking

1|17|17   |     |   (0) comments


Ray Le Maistre and Christoph Glingener, CTO of ADVA Optical Networking, discuss the current state of the industry, cooperation and collaboration, open innovation and the future of networking.
LRTV Custom TV
Cisco's Infinite Video Platform

1|17|17   |     |   (0) comments


Cisco's Infinite Video Platform allows service providers to deliver broadcast-quality video over IP networks. Infinite video supports many devices, from 4K TVs to tablets to game consoles. Join Cisco's Rajeev Raman for a brief tour and live demo.
LRTV Interviews
Masergy: Ability to Adapt Key for NFV

1|16|17   |   6:40   |   (0) comments


Speaking at Light Reading's 2020 Vision in Rome, Masergy's VP, Global Technology, Ray Watson, said agility is key to providing the mix and match NFV-based services that are driving business for the managed service provider today.
LRTV Interviews
Equinix: The Data Explosion

1|13|17   |   4:16   |   (0) comments


At Light Reading's 2020 Vision in Rome, Eric Schwartz, president of EMEA, Equinix, talked about how Equinix is helping its customers manage the influx of data today, and how it's preparing for a future filled with millions of connected IoT devices.
LRTV Interviews
Heavy Reading: The Changing Data Center Landscape

1|12|17   |   6:05   |   (1) comment


At Light Reading's 2020 Vision event in Rome, Heavy Reading's Senior Analyst Roz Roseboro talks about how virtualization is impacting data center evolution and how that evolution is affecting the relationship between service providers, data center operators and public cloud providers.
LRTV Interviews
Boingo: Prepping for Millions of Devices

1|12|17   |   5:07   |   (1) comment


At Light Reading's 2020 Vision in Rome, Boingo's CTO Derek Peterson discusses how wireless operators will address the needs of low-bandwidth and high-bandwidth apps at the same time, the need for more MHz, the impact of IoT and more.
LRTV Interviews
Comcast Shows Off Gig Gateway at CES

1|11|17   |     |   (1) comment


With its largest presence at CES in years, Comcast took the wraps off its long-awaited gigabit gateway and a new platform for managing the home WiFi network. Light Reading Senior Editor Mari Silbey sat down with EVP Chris Satchell to discuss the latest Comcast advance, and met with VP of Product Strategy and Development Andrea Peiro to walk through a demo of the ...
LRTV Interviews
Colt: End-to-End Key for 2017

1|10|17   |   6:21   |   (0) comments


At Light Reading's 2020 Vision Executive Summit in Rome, Nico Fischbach of Colt said having a multi-carrier, end-to-end service proposition is going to be key for 2017 -- and SD-WAN is instrumental in making it happen.
From the Founder
Cisco's Clemson on Mobile Cloud Video

1|9|17   |     |   (1) comment


Cisco's Conrad Clemson, recently promoted to head up the company's Service Provider Apps & Platforms developments, talks to Light Reading's Founder and CEO Steve Saunders about how he's bringing cloud video, mobile and virtualization together to empower network operators. "If you think about where we're going… whether it's a mobile application, or a video ...
LRTV Custom TV
VMware Telco NFV Solutions – Preparing for 5G & IOT

1|9|17   |     |   (0) comments


Shekar Ayyar, EVP & Corporate Strategy/General Manager of Telco for VMware, discusses VMware's Telco NFV solutions role and foundation for the Imminent Arrival of 5G & IOT.
Upcoming Live Events
March 21-22, 2017, The Curtis Hotel, Denver, CO
May 15-17, 2017, Austin Convention Center, Austin, TX
All Upcoming Live Events
Infographics
With the mobile ecosystem becoming increasingly vulnerable to security threats, AdaptiveMobile has laid out some of the key considerations for the wireless community.
Hot Topics
A Women in Comms Glossary
Sarah Thomas, Director, Women in Comms, 1/18/2017
Is Cable One Beefing Up for Slaughter?
Alan Breznick, Cable/Video Practice Leader, Light Reading, 1/20/2017
Google Security Lessons for IT
Curtis Franklin, Security Editor, 1/18/2017
TV's Paradox: No HDR Without 4K
Mari Silbey, Senior Editor, Cable/Video, 1/17/2017
Nokia CTO: 2017 Is the Year 5G Gets in the Field
Dan Jones, Mobile Editor, 1/19/2017
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Light Reading founder and CEO Steve Saunders chats with Sportlogiq CEO Craig Buntin about sports data analysis.
Eyal Waldman, CEO of Mellanox Technologies, speaks to Steve Saunders, CEO of Light Reading, for an exclusive interview about the 100 GB cable challenge, cybersecurity and much more.
Live Digital Audio

Playing it safe can only get you so far. Sometimes the biggest bets have the biggest payouts, and that is true in your career as well. For this radio show, Caroline Chan, general manager of the 5G Infrastructure Division of the Network Platform Group at Intel, will share her own personal story of how she successfully took big bets to build a successful career, as well as offer advice on how you can do the same. We’ll cover everything from how to overcome fear and manage risk, how to be prepared for where technology is going in the future and how to structure your career in a way to ensure you keep progressing. Chan, a seasoned telecom veteran and effective risk taker herself, will also leave plenty of time to answer all your questions live on the air.